Russian government has proposed transport tax exemption for electric vehicles

Interfax – The government of Russian Federation has brought an amendment to the Tax Code to the State Duma, proposing exemption from transport tax payments for electric vehicles from 2018 onwards.

“We propose a period of 5 years” – said the Deputy Minister of Finance Ilya Trunin, presenting the amendment at the meeting of the State Duma Budget Committee.

“I understand that Tesla luxury is out of production? We have a transport tax on horsepower and not for electric vehicles. Is Tesla exempt from the transport tax?” – asked the head of the State Duma Budget and Tax Committee Andrei Makarov to the representatives of the Ministry of Finance. Not receiving any answers, the member of the parliament has stated that the amendments can not be implemented to Tax Code in this form.

“Transport tax is a regional tax and we have agreed that we neither accept nor compensate for regional tax benefits at a federal level” – said Makarov.

The discussion on the transport tax benefits for electric vehicles is scheduled to resume on Tuesday, at the meeting of the Budget Committee of State Duma.